Markets Are Factoring in a U.S.-China Deal, Says Goldman Sachs’s Moe

The video discusses the current market conditions, highlighting favorable changes in the risk environment and macro data. It examines the impact of trade tensions and the potential for a trade deal between the US and China, focusing on tariffs and agricultural purchases. The discussion also covers market positioning, risk appetite, and the influence of past market downturns. Economic indicators like PMIs are analyzed, with a focus on the potential for a mild cyclical lift next year. The need for earnings delivery to support market growth is emphasized.

What indicators suggest that the market is expecting a cyclical lift next year?

What is necessary for the markets to move meaningfully higher according to the analysis?